1.1                          A bill for an act
  1.2             relating to human services; modifying MFIP provisions; 
  1.3             modifying sanctions and program eligibility 
  1.4             requirements for noncompliant MFIP recipients; 
  1.5             establishing hardship extensions; amending Minnesota 
  1.6             Statutes 2000, sections 256J.08, by adding a 
  1.7             subdivision; 256J.09, subdivisions 2, 3; 256J.15, by 
  1.8             adding a subdivision; 256J.24, subdivision 10; 
  1.9             256J.26, subdivision 1; 256J.31, subdivision 4; 
  1.10            256J.42, subdivision 1, by adding a subdivision; 
  1.11            256J.44, subdivision 1; 256J.46, subdivisions 1, 2a, 
  1.12            by adding a subdivision; 256J.50, subdivisions 1, 7; 
  1.13            256J.56; 256J.57, subdivision 2; 256J.62, subdivision 
  1.14            9; 256J.625, subdivisions 1, 2, 4; 256J.751; proposing 
  1.15            coding for new law in Minnesota Statutes, chapter 
  1.16            256J; repealing Minnesota Statutes 2000, sections 
  1.17            256J.42, subdivision 4; 256J.46, subdivision 1a. 
  1.18  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.19     Section 1.  Minnesota Statutes 2000, section 256J.08, is 
  1.20  amended by adding a subdivision to read: 
  1.21     Subd. 47a.  [INDIAN RESERVATION.] "Indian reservation" 
  1.22  means Indian country as defined in United States Code, title 18, 
  1.23  section 1151. 
  1.24     Sec. 2.  Minnesota Statutes 2000, section 256J.09, 
  1.25  subdivision 2, is amended to read: 
  1.26     Subd. 2.  [COUNTY AGENCY RESPONSIBILITY TO PROVIDE 
  1.27  INFORMATION.] ~~A~~ When a person inquires about assistance, a 
  1.28  county agency must ~~inform a person who inquires about assistance~~ 
  1.29  ~~about~~: 
  1.30     (1) explain the eligibility requirements ~~for assistance~~ of, 
  1.31  and how to apply for, diversionary assistance~~, including~~ 
  2.1   ~~diversionary assistance and~~ as provided in section 256J.47; 
  2.2   emergency assistance~~.~~ as provided in section 256J.48; and MFIP 
  2.3   as provided in section 256J.10; and 
  2.4      ~~A county agency must~~ (2) offer the person brochures 
  2.5   developed or approved by the commissioner that describe how to 
  2.6   apply for assistance. 
  2.7      Sec. 3.  Minnesota Statutes 2000, section 256J.09, 
  2.8   subdivision 3, is amended to read: 
  2.9      Subd. 3.  [SUBMITTING THE APPLICATION FORM.] (a) A county 
  2.10  agency must offer, in person or by mail, the application forms 
  2.11  prescribed by the commissioner as soon as a person makes a 
  2.12  written or oral inquiry.  At that time, the county agency must: 
  2.13     (1) inform the person that assistance begins with the date 
  2.14  the signed application is received by the county agency or the 
  2.15  date all eligibility criteria are met, whichever is later~~.  The~~ 
  2.16  ~~county agency must~~; 
  2.17     (2) inform the applicant that any delay in submitting the 
  2.18  application will reduce the amount of assistance paid for the 
  2.19  month of application~~.  A county agency must~~; 
  2.20     (3) inform a person that the person may submit the 
  2.21  application before an ~~interview appointment.  To apply for~~ 
  2.22  ~~assistance, a person must submit a signed application to the~~ 
  2.23  ~~county agency.~~ initial screening under section 256J.44; 
  2.24     (4) explain the information that will be verified at 
  2.25  application by the county agency as provided in section 256J.32; 
  2.26     (5) inform a person about the county agency's average 
  2.27  application processing time and explain how the application will 
  2.28  be processed under subdivision 5; 
  2.29     (6) explain how to contact the county agency if a person's 
  2.30  application information changes and how to withdraw the 
  2.31  application; 
  2.32     (7) inform a person that the next step in the application 
  2.33  process is an initial screening and what a person must do if the 
  2.34  application is approved including, but not limited to, attending 
  2.35  orientation under section 256J.45 and complying with employment 
  2.36  and training services requirements in sections 256J.52 to 
  3.1   256J.55; 
  3.2      (8) explain how to contact the county agency if a person 
  3.3   has questions about compliance with program requirements; and 
  3.4      (9) explain the support services under section 256J.44, 
  3.5   subdivision 2, that are available to enable caregivers to attend 
  3.6   the initial screening under section 256J.44 and orientation 
  3.7   under section 256J.45.  
  3.8      (b) Upon receipt of a signed application, the county agency 
  3.9   must stamp the date of receipt on the face of the application.  
  3.10  The county agency must process the application within the time 
  3.11  period required under subdivision 5.  An applicant may withdraw 
  3.12  the application at any time by giving written or oral notice to 
  3.13  the county agency.  The county agency must issue a written 
  3.14  notice confirming the withdrawal.  The notice must inform the 
  3.15  applicant of the county agency's understanding that the 
  3.16  applicant has withdrawn the application and no longer wants to 
  3.17  pursue it.  When, within ten days of the date of the agency's 
  3.18  notice, an applicant informs a county agency, in writing, that 
  3.19  the applicant does not wish to withdraw the application, the 
  3.20  county agency must reinstate the application and finish 
  3.21  processing the application. 
  3.22     Sec. 4.  Minnesota Statutes 2000, section 256J.15, is 
  3.23  amended by adding a subdivision to read: 
  3.24     Subd. 3.  [ELIGIBILITY AFTER DISQUALIFICATION DUE TO 
  3.25  NONCOMPLIANCE.] (a) An applicant who is a member of an 
  3.26  assistance unit that was disqualified from receiving MFIP under 
  3.27  section 256J.46, subdivision 1, paragraph (d), clause (3), and 
  3.28  who applies for MFIP assistance within six months of the date of 
  3.29  the disqualification is considered to be a new applicant for 
  3.30  purposes of the property limitations under section 256J.20 and 
  3.31  the payment of assistance provisions under section 256J.24, 
  3.32  subdivision 8.  The county agency must also use the initial 
  3.33  income test under section 256J.21, subdivision 3, in determining 
  3.34  the applicant's eligibility for assistance. 
  3.35     (b) Notwithstanding section 256J.24, subdivisions 5 to 7 
  3.36  and 9, for an applicant who is eligible for MFIP under this 
  4.1   subdivision, the residual amount of the grant, after making 
  4.2   vendor payments for shelter and utility costs, if any, must be 
  4.3   reduced by ten percent of the applicable MFIP standard of need 
  4.4   for an assistance unit of the same size for each of the first 
  4.5   three months on MFIP before the residual amount of the grant is 
  4.6   paid to the assistance unit. 
  4.7      Sec. 5.  Minnesota Statutes 2000, section 256J.24, 
  4.8   subdivision 10, is amended to read: 
  4.9      Subd. 10.  [MFIP EXIT LEVEL.] ~~(a) In state fiscal years~~ 
  4.10  ~~2000 and 2001,~~ The commissioner shall adjust the MFIP earned 
  4.11  income disregard to ensure that most participants do not lose 
  4.12  eligibility for MFIP until their income reaches at least 120 
  4.13  percent of the federal poverty guidelines in effect in October 
  4.14  of each fiscal year.  The adjustment to the disregard shall be 
  4.15  based on a household size of three, and the resulting earned 
  4.16  income disregard percentage must be applied to all household 
  4.17  sizes.  The adjustment under this subdivision must be 
  4.18  implemented at the same time as the October food stamp 
  4.19  cost-of-living adjustment is reflected in the food portion of 
  4.20  MFIP transitional standard as required under subdivision 5a. 
  4.21     ~~(b) In state fiscal year 2002 and thereafter, the earned~~ 
  4.22  ~~income disregard percentage must be the same as the percentage~~ 
  4.23  ~~implemented in October 2000.~~ 
  4.24     Sec. 6.  Minnesota Statutes 2000, section 256J.26, 
  4.25  subdivision 1, is amended to read: 
  4.26     Subdivision 1.  [PERSON CONVICTED OF DRUG OFFENSES.] (a) 
  4.27  Applicants or participants who have been convicted of a drug 
  4.28  offense committed after July 1, 1997, may, if otherwise 
  4.29  eligible, receive MFIP benefits subject to the following 
  4.30  conditions: 
  4.31     (1) Benefits for the entire assistance unit must be paid in 
  4.32  vendor form for shelter and utilities during any time the 
  4.33  applicant is part of the assistance unit. 
  4.34     (2) The convicted applicant or participant shall be subject 
  4.35  to random drug testing as a condition of continued eligibility 
  4.36  and following any positive test for an illegal controlled 
  5.1   substance is subject to the following sanctions: 
  5.2      (i) for failing a drug test the first time, the 
  5.3   ~~participant's grant shall be reduced by ten percent of the MFIP~~ 
  5.4   ~~standard of need, prior to making vendor payments for shelter~~ 
  5.5   ~~and utility costs; or~~ 
  5.6      ~~(ii) for failing a drug test two or more times, the~~ 
  5.7   residual amount of the participant's grant after making vendor 
  5.8   payments for shelter and utility costs, if any, must be reduced 
  5.9   by an amount equal to 30 percent of the MFIP standard of need.  
  5.10  When a sanction under this subdivision is in effect, the job 
  5.11  counselor must attempt to meet with the person face-to-face.  
  5.12  During the face-to-face meeting, the job counselor must explain 
  5.13  the consequences of a subsequent drug test failure and inform 
  5.14  the participant of the right to appeal the sanction under 
  5.15  section 256J.40.  If a face-to-face meeting is not possible, the 
  5.16  county agency must send the participant a notice of adverse 
  5.17  action as provided in section 256J.31, subdivisions 4 and 5, and 
  5.18  must include the information required in the face-to-face 
  5.19  meeting; or 
  5.20     (ii) for failing a drug test two times, the assistance unit 
  5.21  is permanently disqualified from receiving MFIP assistance, both 
  5.22  the cash and food portions.  Before a disqualification under 
  5.23  this provision is imposed, the job counselor must attempt to 
  5.24  meet with the participant face-to-face.  During the face-to-face 
  5.25  meeting, the job counselor must identify other resources that 
  5.26  may be available to the participant to meet the needs of the 
  5.27  family and inform the participant of the right to appeal the 
  5.28  disqualification under section 256J.40.  If a face-to-face 
  5.29  meeting is not possible, the county agency must send the 
  5.30  participant a notice of adverse action as provided in section 
  5.31  256J.31, subdivisions 4 and 5, and must include the information 
  5.32  required in the face-to-face meeting. 
  5.33     (3) A participant who fails ~~an initial~~ a drug test the 
  5.34  first time and is under a sanction due to other MFIP program 
  5.35  requirements is considered to have more than one occurrence of 
  5.36  noncompliance and is subject to the applicable level of sanction 
  6.1   ~~in clause (2)(ii)~~ as specified under section 256J.46, 
  6.2   subdivision 1, paragraph (d). 
  6.3      (b) Applicants requesting only food stamps or participants 
  6.4   receiving only food stamps, who have been convicted of a drug 
  6.5   offense that occurred after July 1, 1997, may, if otherwise 
  6.6   eligible, receive food stamps if the convicted applicant or 
  6.7   participant is subject to random drug testing as a condition of 
  6.8   continued eligibility.  Following a positive test for an illegal 
  6.9   controlled substance, the applicant is subject to the following 
  6.10  sanctions: 
  6.11     (1) for failing a drug test the first time, food stamps 
  6.12  shall be reduced by ten percent of the applicable food stamp 
  6.13  allotment; and 
  6.14     (2) for failing a drug test two or more times, food stamps 
  6.15  shall be reduced by an amount equal to 30 percent of the 
  6.16  applicable food stamp allotment.  
  6.17     (c) For the purposes of this subdivision, "drug offense" 
  6.18  means an offense that occurred after July 1, 1997, of sections 
  6.19  152.021 to 152.025, 152.0261, or 152.096.  Drug offense also 
  6.20  means a conviction in another jurisdiction of the possession, 
  6.21  use, or distribution of a controlled substance, or conspiracy to 
  6.22  commit any of these offenses, if the offense occurred after July 
  6.23  1, 1997, and the conviction is a felony offense in that 
  6.24  jurisdiction, or in the case of New Jersey, a high misdemeanor. 
  6.25     Sec. 7.  Minnesota Statutes 2000, section 256J.31, 
  6.26  subdivision 4, is amended to read: 
  6.27     Subd. 4.  [PARTICIPANT'S RIGHT TO NOTICE.] A county agency 
  6.28  must give a participant written notice of all adverse actions 
  6.29  affecting the participant including payment reductions, 
  6.30  suspensions, terminations, and use of protective, vendor, or 
  6.31  two-party payments.  The notice of adverse action must be on a 
  6.32  form prescribed or approved by the commissioner, must be 
  6.33  understandable at a fifth grade reading level, and must be 
  6.34  mailed to the last known mailing address provided by the 
  6.35  participant.  A notice written in English must be sent to every 
  6.36  applicable participant.  In addition, if a county agency has 
  7.1   identified, in the case of a particular participant, that the 
  7.2   participant's primary language is a language other than English 
  7.3   and that language is the primary language of two percent or more 
  7.4   of the state's population, the county agency must also send the 
  7.5   notice in that primary language.  The county agency must state 
  7.6   on the notice of adverse action the action it intends to take, 
  7.7   the reasons for the action, the participant's right to appeal 
  7.8   the action, the conditions under which assistance can be 
  7.9   continued pending an appeal decision, and the related 
  7.10  consequences of the action. 
  7.11     Sec. 8.  Minnesota Statutes 2000, section 256J.42, 
  7.12  subdivision 1, is amended to read: 
  7.13     Subdivision 1.  [TIME LIMIT.] (a) Except ~~for the exemptions~~ 
  7.14  as otherwise provided for in this section, an assistance unit in 
  7.15  which any adult caregiver has received 60 months of cash 
  7.16  assistance funded in whole or in part by the TANF block grant in 
  7.17  this or any other state or United States territory, or from a 
  7.18  tribal TANF program, MFIP, the AFDC program formerly codified in 
  7.19  sections 256.72 to 256.87, or the family general assistance 
  7.20  program formerly codified in sections 256D.01 to 256D.23, funded 
  7.21  in whole or in part by state appropriations, is ineligible to 
  7.22  receive MFIP.  Any cash assistance funded with TANF dollars in 
  7.23  this or any other state or United States territory, or from a 
  7.24  tribal TANF program, or MFIP assistance funded in whole or in 
  7.25  part by state appropriations, that was received by the unit on 
  7.26  or after the date TANF was implemented, including any assistance 
  7.27  received in states or United States territories of prior 
  7.28  residence, counts toward the 60-month limitation.  The 60-month 
  7.29  limit applies to a minor ~~who is the head of a household or who~~ 
  7.30  ~~is married to the head of a household~~ caregiver except under 
  7.31  subdivision 5.  The 60-month time period does not need to be 
  7.32  consecutive months for this provision to apply.  
  7.33     (b) The months before July 1998 in which individuals 
  7.34  received assistance as part of the field trials as an MFIP, 
  7.35  MFIP-R, or MFIP or MFIP-R comparison group family are not 
  7.36  included in the 60-month time limit. 
  8.1      Sec. 9.  Minnesota Statutes 2000, section 256J.42, is 
  8.2   amended by adding a subdivision to read: 
  8.3      Subd. 6.  [CASE REVIEW.] (a) Within 60 days before the end 
  8.4   of the participant's 60th month on MFIP, the job counselor must 
  8.5   review the participant's case to determine if the employment 
  8.6   services plan is still appropriate and attempt to meet with the 
  8.7   participant face-to-face. 
  8.8      (b) During the face-to-face meeting, the job counselor must:
  8.9      (1) inform the participant how many months of counted 
  8.10  assistance the participant has accrued and when the participant 
  8.11  is expected to reach the 60th month; 
  8.12     (2) explain the hardship extension criteria under section 
  8.13  256J.425 and what the participant should do if the participant 
  8.14  thinks a hardship extension applies; 
  8.15     (3) identify other resources that may be available to the 
  8.16  participant to meet the needs of the family; and 
  8.17     (4) inform the participant of the right to appeal the case 
  8.18  closure under section 256J.40. 
  8.19     (c) If a face-to-face meeting is not possible, the county 
  8.20  agency must send the participant a notice of adverse action as 
  8.21  provided in section 256J.31, subdivisions 4 and 5. 
  8.22     (d) Before a participant's case is closed under this 
  8.23  section, the county must ensure that: 
  8.24     (1) the case has been reviewed by the job counselor's 
  8.25  supervisor or the review team designated in the county's 
  8.26  approved local service unit plan to determine if the criteria 
  8.27  for a hardship extension, if requested, were applied 
  8.28  appropriately; and 
  8.29     (2) the job counselor attempted to meet with the 
  8.30  participant face-to-face. 
  8.31     Sec. 10.  [256J.425] [HARDSHIP EXTENSIONS.] 
  8.32     Subdivision 1.  [ELIGIBILITY.] An assistance unit subject 
  8.33  to the time limit under this subdivision in which any 
  8.34  participant has received 60 counted months of assistance is not 
  8.35  eligible to receive months of assistance beyond the first 60 
  8.36  months under a hardship extension, if the participant is not in 
  9.1   compliance.  If there is more than one participant in the 
  9.2   household, each participant must be in compliance to be eligible 
  9.3   for a hardship extension.  For purposes of determining 
  9.4   eligibility for a hardship extension under subdivision 2, a 
  9.5   participant is in compliance in any month that the participant 
  9.6   has not been sanctioned under section 256J.46, subdivision 1, or 
  9.7   under 256J.26, subdivision 1, paragraph (a), clause (2). 
  9.8      Subd. 2.  [ILL OR INCAPACITATED PARTICIPANTS; DEPENDENT 
  9.9   HOUSEHOLD MEMBER.] (a) An assistance unit subject to the time 
  9.10  limit in subdivision 1 in which any participant has received 60 
  9.11  counted months of assistance is eligible for months of 
  9.12  assistance after the first 60 months under a hardship extension 
  9.13  if the participant belongs to any of the following groups: 
  9.14     (1) participants who are suffering from a professionally 
  9.15  certified illness, injury, or incapacity which is expected to 
  9.16  continue for more than 30 days and which prevents the person 
  9.17  from obtaining or retaining employment; 
  9.18     (2) participants whose presence in the home is required 
  9.19  because of the professionally certified illness or incapacity of 
  9.20  another member in the assistance unit, a relative in the 
  9.21  household, or a foster child in the household and the illness or 
  9.22  incapacity is expected to continue for more than 30 days; or 
  9.23     (3) caregivers with a child or an adult in the household 
  9.24  who meets the disability or medical criteria for home care 
  9.25  services under section 256B.0627, subdivision 1, paragraph (c), 
  9.26  or a home and community-based waiver services program under 
  9.27  chapter 256B, or meets the criteria for severe emotional 
  9.28  disturbance under section 245.4871, subdivision 6, or for 
  9.29  serious and persistent mental illness under section 245.462, 
  9.30  subdivision 20, paragraph (c).  Caregivers in this category are 
  9.31  presumed to be prevented from obtaining or retaining employment. 
  9.32     (b) An assistance unit receiving assistance under a 
  9.33  hardship extension under this paragraph may continue to receive 
  9.34  assistance under MFIP as long as the participant meets the 
  9.35  criteria in paragraph (a), clause (1), (2), or (3).  A job 
  9.36  counselor must, on a quarterly basis, review the case file of an 
 10.1   assistance unit receiving assistance under this subdivision to 
 10.2   determine if the participant still meets the criteria in 
 10.3   paragraph (a), clause (1), (2), or (3). 
 10.4      Subd. 3.  [CERTAIN HARD-TO-EMPLOY PARTICIPANTS.] (a) An 
 10.5   assistance unit subject to the time limit in subdivision 1 in 
 10.6   which any participant has received 60 counted months of 
 10.7   assistance is eligible for assistance after the first 60 months 
 10.8   under a hardship extension if the participant belongs to any of 
 10.9   the following groups: 
 10.10     (1) a person who is diagnosed by a licensed physician, 
 10.11  psychological practitioner, or other qualified professional, as 
 10.12  mentally retarded or mentally ill, and that condition prevents 
 10.13  the person from obtaining or retaining employment; 
 10.14     (2) a person who has been assessed by a vocational 
 10.15  specialist and, in consultation with the county agency, has been 
 10.16  determined to be unemployable for purposes of this clause; a 
 10.17  person is considered employable if positions of employment in 
 10.18  the local labor market exist, regardless of the current 
 10.19  availability of openings for those positions, that the person is 
 10.20  capable of performing.  The person's eligibility under this 
 10.21  category must be reassessed at least annually; or 
 10.22     (3) a person who is determined by the county agency, 
 10.23  according to Minnesota Rules, part 9500.1251, subpart 2, item I, 
 10.24  to be learning disabled, provided that if a rehabilitation plan 
 10.25  for the person is developed or approved by the county agency, 
 10.26  the person is following the plan.  A rehabilitation plan does 
 10.27  not replace the requirement to develop and comply with an 
 10.28  employment plan under section 256J.52. 
 10.29     (b) An assistance unit receiving assistance under a 
 10.30  hardship extension under this subdivision may continue to 
 10.31  receive assistance under MFIP as long as the participant meets 
 10.32  the criteria in paragraph (a), clause (1), (2), or (3), and all 
 10.33  participants in the assistance unit remain in compliance with, 
 10.34  or are exempt from, the employment and training services 
 10.35  requirements in sections 256J.52 to 256J.55. 
 10.36     Subd. 4.  [VICTIMS OF FAMILY VIOLENCE.] A participant who 
 11.1   received TANF assistance that counted towards the federal 
 11.2   60-month time limit while the participant complied with a safety 
 11.3   plan or, after October 1, 2001, an alternative employment plan 
 11.4   under the MFIP employment and training component is eligible for 
 11.5   assistance under a hardship extension for a period of time equal 
 11.6   to the number of months that were counted toward the federal 
 11.7   60-month time limit while the participant complied with a safety 
 11.8   plan or, after October 1, 2001, an alternative employment plan 
 11.9   under the MFIP employment and training component. 
 11.10     Subd. 5.  [ACCRUAL OF CERTAIN EXEMPT MONTHS.] (a) A 
 11.11  participant who received TANF assistance that counted towards 
 11.12  the federal 60-month time limit while the participant was or 
 11.13  would have been exempt under section 256J.56, paragraph (a), 
 11.14  clause (9), from employment and training services requirements 
 11.15  and who is no longer eligible for assistance under a hardship 
 11.16  extension under subdivision 2, paragraph (a), clause (3), is 
 11.17  eligible for assistance under a hardship extension for a period 
 11.18  of time equal to the number of months that were counted toward 
 11.19  the federal 60-month time limit while the participant was or 
 11.20  would have been exempt under section 256J.56, paragraph (a), 
 11.21  clause (9), from the employment and training services 
 11.22  requirements. 
 11.23     (b) A participant who received TANF assistance that counted 
 11.24  towards the federal 60-month time limit while the participant 
 11.25  met the state time limit exemption criteria under section 
 11.26  256J.42, subdivision 5, is eligible for assistance under a 
 11.27  hardship extension for a period of time equal to the number of 
 11.28  months that were counted toward the federal 60-month time limit 
 11.29  while the participant met the state time limit exemption 
 11.30  criteria under section 256J.42, subdivision 5. 
 11.31     Sec. 11.  Minnesota Statutes 2000, section 256J.44, 
 11.32  subdivision 1, is amended to read: 
 11.33     Subdivision 1.  [SCREENING.] (a) The county agency, or at 
 11.34  county option, the county's employment and training service 
 11.35  provider as defined in section 256J.49, must screen each 
 11.36  applicant to determine immediate needs and to determine if the 
 12.1   applicant may be eligible for: 
 12.2      (1) another program that is not partially funded through 
 12.3   the federal temporary assistance to needy families block grant 
 12.4   under title I of Public Law Number 104-193, including the 
 12.5   expedited issuance of food stamps under section 256J.28, 
 12.6   subdivision 1.  If the applicant may be eligible for another 
 12.7   program, a county caseworker must provide the appropriate 
 12.8   referral to the program; 
 12.9      (2) the diversionary assistance program under section 
 12.10  256J.47; or 
 12.11     (3) the emergency assistance program under section 256J.48. 
 12.12     The applicant is required to attend the screening.  
 12.13     (b) If the applicant is not diverted from applying for 
 12.14  MFIP-S under paragraph (a), clauses (1) to (3), and if the 
 12.15  applicant meets the MFIP-S eligibility requirements, then a 
 12.16  county agency must: 
 12.17     (1) identify an applicant who is under the age of 20 and 
 12.18  explain to the applicant the assessment procedures and 
 12.19  employment plan requirements for minor parents under section 
 12.20  256J.54; 
 12.21     (2) determine if an applicant qualifies for an exemption 
 12.22  for victims of family violence under section 256J.52, 
 12.23  subdivision 6, and explain what a participant should do to 
 12.24  develop an alternative employment plan; 
 12.25     (3) determine if an applicant qualifies for an exemption 
 12.26  under section 256J.56 from employment and training services 
 12.27  requirements, explain how a person should report to the county 
 12.28  agency any status changes, and explain that a person who is 
 12.29  exempt may volunteer to participate in employment and training 
 12.30  services; 
 12.31     (4) identify any language barriers and arrange for 
 12.32  translation assistance during appointments including, but not 
 12.33  limited to, orientation under section 256J.45 and the initial 
 12.34  assessment under section 256J.52; 
 12.35     (5) for applicants who are not exempt under section 
 12.36  256J.56, paragraph (a), clause (6) or (8), from the requirement 
 13.1   to attend orientation, arrange for an orientation under section 
 13.2   256J.45 and an initial assessment under section 256J.52 ~~must be~~ 
 13.3   ~~completed; or, in the case of caregivers who are under the age~~ 
 13.4   ~~of 20, a plan under section 256J.54 must be completed~~; 
 13.5      (6) inform an applicant who is not exempt under section 
 13.6   256J.56, paragraph (a), clause (6) or (8), that failure to 
 13.7   attend the orientation is considered an occurrence of 
 13.8   noncompliance with program requirements, and will result in an 
 13.9   imposition of a sanction under section 256J.46; and 
 13.10     (7) explain how to contact the county agency if a person 
 13.11  has questions about compliance with the program requirements. 
 13.12     Sec. 12.  Minnesota Statutes 2000, section 256J.46, 
 13.13  subdivision 1, is amended to read: 
 13.14     Subdivision 1.  [SANCTIONS FOR PARTICIPANTS NOT COMPLYING 
 13.15  WITH PROGRAM REQUIREMENTS.] (a) A participant who fails without 
 13.16  good cause to comply with the requirements of this chapter, and 
 13.17  who is not subject to a sanction under subdivision 2, shall be 
 13.18  subject to a sanction as provided in this subdivision.  Prior to 
 13.19  the imposition of a sanction, a county agency shall provide a 
 13.20  notice of intent to sanction under section 256J.57, subdivision 
 13.21  2, and, when applicable, a notice of adverse action as provided 
 13.22  in section 256J.31. 
 13.23     (b) A participant who fails to comply with an alternative 
 13.24  employment plan must have the plan reviewed by a person trained 
 13.25  in domestic violence and a job counselor to determine if 
 13.26  components of the alternative employment plan are still 
 13.27  appropriate.  If the activities are no longer appropriate, the 
 13.28  plan must be revised with a person trained in domestic violence 
 13.29  and approved by a job counselor.  A participant who fails to 
 13.30  comply with a plan that is determined not to need revision will 
 13.31  lose their exemption and be required to comply with regular 
 13.32  employment services activities.  
 13.33     (c) A sanction under this subdivision becomes effective the 
 13.34  month following the month in which a required notice is given.  
 13.35  A sanction must not be imposed when a participant comes into 
 13.36  compliance with the requirements for orientation under section 
 14.1   256J.45 or third-party liability for medical services under 
 14.2   section 256J.30, subdivision 10, prior to the effective date of 
 14.3   the sanction.  A sanction must not be imposed when a participant 
 14.4   comes into compliance with the requirements for employment and 
 14.5   training services under sections 256J.49 to 256J.72 ten days 
 14.6   prior to the effective date of the sanction.  For purposes of 
 14.7   this subdivision, each month that a participant fails to comply 
 14.8   with a requirement of this chapter shall be considered a 
 14.9   separate occurrence of noncompliance.  A participant who has had 
 14.10  one or more sanctions imposed must remain in compliance with the 
 14.11  provisions of this chapter for six months in order for a 
 14.12  subsequent occurrence of noncompliance to be considered a first 
 14.13  occurrence.  
 14.14     ~~(b)~~ (d) Sanctions for noncompliance shall be imposed as 
 14.15  follows: 
 14.16     (1) For the first occurrence of noncompliance by a 
 14.17  participant in ~~a single-parent household or by one participant~~ 
 14.18  ~~in a two-parent household~~ an assistance unit, the assistance 
 14.19  unit's grant shall be reduced by ten percent of the MFIP 
 14.20  standard of need for an assistance unit of the same size with 
 14.21  the residual grant paid to the participant.  The reduction in 
 14.22  the grant amount must be in effect for a minimum of one month 
 14.23  and shall be removed in the month following the month that the 
 14.24  participant returns to compliance.  
 14.25     (2) For a second ~~or subsequent~~ and third occurrence of 
 14.26  noncompliance by a participant in an assistance unit, or 
 14.27  when ~~both~~ each of the participants in a two-parent ~~household are~~ 
 14.28  ~~out of compliance~~ assistance unit have a first occurrence of 
 14.29  noncompliance at the same time, the assistance unit's shelter 
 14.30  costs shall be vendor paid up to the amount of the cash portion 
 14.31  of the MFIP grant for which the ~~participant's~~ assistance unit is 
 14.32  eligible.  At county option, the assistance unit's utilities may 
 14.33  also be vendor paid up to the amount of the cash portion of the 
 14.34  MFIP grant remaining after vendor payment of the assistance 
 14.35  unit's shelter costs.  The residual amount of the grant after 
 14.36  vendor payment, if any, must be reduced by an amount equal to 30 
 15.1   percent of the MFIP standard of need for an assistance unit of 
 15.2   the same size before the residual grant is paid to the 
 15.3   assistance unit.  The reduction in the grant amount must be in 
 15.4   effect for a minimum of one month and shall be removed in the 
 15.5   month following the month that ~~a~~ the participant in a one-parent 
 15.6   ~~household~~ assistance unit returns to compliance.  In a 
 15.7   two-parent ~~household~~ assistance unit, the grant reduction must 
 15.8   be in effect for a minimum of one month and shall be removed in 
 15.9   the month following the month both participants return to 
 15.10  compliance.  The vendor payment of shelter costs and, if 
 15.11  applicable, utilities shall be removed six months after the 
 15.12  month in which the participant or participants return to 
 15.13  compliance.  If an assistance unit is sanctioned under this 
 15.14  clause, the participant's case file must be reviewed as required 
 15.15  under paragraph (e). 
 15.16     (3) For a fourth occurrence of noncompliance, the 
 15.17  assistance unit is disqualified from receiving MFIP assistance, 
 15.18  both the cash and food portions.  This disqualification must be 
 15.19  in effect for a minimum of one full month.  Before an assistance 
 15.20  unit is disqualified under this clause, the county must ensure 
 15.21  that: 
 15.22     (i) the case has been reviewed by the job counselor's 
 15.23  supervisor or the review team designated in the county's 
 15.24  approved local service unit plan to determine if the review 
 15.25  required under paragraph (e) has occurred; and 
 15.26     (ii) the job counselor attempted to meet with the 
 15.27  participant face-to-face. 
 15.28     ~~(c) No later than during the second month that~~ (e) When a 
 15.29  sanction under paragraph ~~(b)~~ (d), clause (2), is in effect ~~due~~ 
 15.30  ~~to noncompliance with employment services, the participant's~~ 
 15.31  ~~case file must be reviewed to determine if~~, the job counselor 
 15.32  must review the participant's case to determine if the 
 15.33  employment services plan is still appropriate and attempt to 
 15.34  meet with the participant face-to-face.  If a face-to-face 
 15.35  meeting is not possible, the county agency must send the 
 15.36  participant a notice of adverse action as provided in section 
 16.1   256J.31, subdivisions 4 and 5. 
 16.2      (1) During the face-to-face meeting, the job counselor must:
 16.3      (i) determine whether the continued noncompliance can be 
 16.4   explained and mitigated by providing a needed preemployment 
 16.5   activity, as defined in section 256J.49, subdivision 13, clause 
 16.6   (16), or services under a local intervention grant for 
 16.7   self-sufficiency under section 256J.625; 
 16.8      (ii) determine whether the participant qualifies for a good 
 16.9   cause exception under section 256J.57; ~~or~~ 
 16.10     (iii) determine whether the participant qualifies for an 
 16.11  exemption under section 256J.56; 
 16.12     (iv) determine whether the participant qualifies for an 
 16.13  exemption for victims of family violence under section 256J.52, 
 16.14  subdivision 6; 
 16.15     (v) inform the participant of the participant's sanction 
 16.16  status and explain the consequences of continuing noncompliance; 
 16.17     (vi) identify other resources that may be available to the 
 16.18  participant to meet the needs of the family if the participant 
 16.19  is sanctioned and disqualified from MFIP under paragraph (d), 
 16.20  clause (3); and 
 16.21     (vii) inform the participant of the right to appeal under 
 16.22  section 256J.40. 
 16.23     (2) If the lack of an identified activity can explain the 
 16.24  noncompliance, the county must work with the participant to 
 16.25  provide the identified activity, and the county must restore the 
 16.26  participant's grant amount to the full amount for which the 
 16.27  assistance unit is eligible.  The grant must be restored 
 16.28  retroactively to the first day of the month in which the 
 16.29  participant was found to lack preemployment activities or to 
 16.30  qualify for an exemption ~~or~~ under section 256J.56, a good cause 
 16.31  exception under section 256J.57, or an exemption for victims of 
 16.32  family violence under section 256J.52, subdivision 6. 
 16.33     (3) If the participant is found to qualify for a good cause 
 16.34  exception or an exemption, the county must restore the 
 16.35  participant's grant to the full amount for which the assistance 
 16.36  unit is eligible.  
 17.1      <b>[EFFECTIVE DATE.]</b> The family violence provisions in 
 17.2   paragraph (e) are effective October 1, 2001. 
 17.3      Sec. 13.  Minnesota Statutes 2000, section 256J.46, 
 17.4   subdivision 2a, is amended to read: 
 17.5      Subd. 2a.  [DUAL SANCTIONS.] (a) Notwithstanding the 
 17.6   provisions of subdivisions 1 and 2, for a participant subject to 
 17.7   a sanction for refusal to comply with child support requirements 
 17.8   under subdivision 2 and subject to a concurrent sanction for 
 17.9   refusal to cooperate with other program requirements under 
 17.10  subdivision 1, sanctions shall be imposed in the manner 
 17.11  prescribed in this subdivision. 
 17.12     A participant who has had one or more sanctions imposed 
 17.13  under this subdivision must remain in compliance with the 
 17.14  provisions of this chapter for six months in order for a 
 17.15  subsequent occurrence of noncompliance to be considered a first 
 17.16  occurrence.  Any vendor payment of shelter costs or utilities 
 17.17  under this subdivision must remain in effect for six months 
 17.18  after the month in which the participant is no longer subject to 
 17.19  sanction under subdivision 1. 
 17.20     (b) If the participant was subject to sanction ~~for:~~ 
 17.21     ~~(i) noncompliance under subdivision 1 before being subject~~ 
 17.22  ~~to sanction for noncooperation under subdivision 2; or~~ 
 17.23     ~~(ii) noncooperation under subdivision 2 before being~~ 
 17.24  ~~subject to sanction for noncompliance under subdivision 1;~~ under 
 17.25  subdivision 1 or 2 before being subject to sanction under the 
 17.26  other of those subdivisions, the participant shall be sanctioned 
 17.27  as provided in subdivision 1, paragraph ~~(b)~~ (d), ~~clause~~ 
 17.28  clauses (2) and (3), and the requirement that the county conduct 
 17.29  a review as specified in subdivision 1, paragraph ~~(c)~~ (e), 
 17.30  remains in effect. 
 17.31     (c) A participant who first becomes subject to sanction 
 17.32  under both subdivisions 1 and 2 in the same month is subject to 
 17.33  sanction as follows: 
 17.34     (i) in the first month of noncompliance and noncooperation, 
 17.35  the participant's grant must be reduced by 25 percent of the 
 17.36  applicable MFIP standard of need, with any residual amount paid 
 18.1   to the participant; 
 18.2      (ii) in the second and subsequent months of noncompliance 
 18.3   and noncooperation, the participant shall be sanctioned as 
 18.4   provided in subdivision 1, paragraph ~~(b)~~ (d), ~~clause~~ clauses (2) 
 18.5   and (3). 
 18.6      The requirement that the county conduct a review as 
 18.7   specified in subdivision 1, paragraph ~~(c)~~ (e), remains in effect.
 18.8      (d) A participant remains subject to sanction under 
 18.9   subdivision 2 if the participant: 
 18.10     (i) returns to compliance and is no longer subject to 
 18.11  sanction under subdivision 1; or 
 18.12     (ii) has the sanction under subdivision 1, 
 18.13  paragraph ~~(b)~~ (d), removed upon completion of the review under 
 18.14  subdivision 1, paragraph ~~(c)~~ (e). 
 18.15     A participant remains subject to sanction under subdivision 
 18.16  1, paragraph ~~(b)~~ (d), if the participant cooperates and is no 
 18.17  longer subject to sanction under subdivision 2. 
 18.18     Sec. 14.  Minnesota Statutes 2000, section 256J.46, is 
 18.19  amended by adding a subdivision to read: 
 18.20     Subd. 3.  [SANCTION STATUS AFTER DISQUALIFICATION.] An 
 18.21  applicant who is a member of an assistance unit that was 
 18.22  disqualified from receiving MFIP under subdivision 1, paragraph 
 18.23  (d), clause (3), who applies for MFIP assistance within six 
 18.24  months of the date of the disqualification, and who is 
 18.25  determined to be eligible for MFIP assistance, is considered to 
 18.26  have a first occurrence of noncompliance.  The applicant must 
 18.27  remain in compliance with the provisions of this chapter for six 
 18.28  months in order for a subsequent occurrence of noncompliance to 
 18.29  be considered a first occurrence. 
 18.30     Sec. 15.  Minnesota Statutes 2000, section 256J.50, 
 18.31  subdivision 1, is amended to read: 
 18.32     Subdivision 1.  [EMPLOYMENT AND TRAINING SERVICES COMPONENT 
 18.33  OF MFIP.] (a) By January 1, 1998, each county must develop and 
 18.34  implement an employment and training services component of MFIP 
 18.35  which is designed to put participants on the most direct path to 
 18.36  unsubsidized employment.  Participation in these services is 
 19.1   mandatory for all MFIP caregivers, unless the caregiver is 
 19.2   exempt under section 256J.56. 
 19.3      (b) A county must provide employment and training services 
 19.4   under sections 256J.515 to 256J.74 within 30 days after the 
 19.5   caregiver's participation becomes mandatory under subdivision 
 19.6   5 or within 30 days of receipt of a request for services from a 
 19.7   caregiver who under section 256J.42 is no longer eligible to 
 19.8   receive MFIP but whose income is below 120 percent of the 
 19.9   federal poverty guidelines for a family of the same size.  The 
 19.10  request must be made within 12 months of the date the 
 19.11  caregivers' MFIP case was closed. 
 19.12     Sec. 16.  Minnesota Statutes 2000, section 256J.50, 
 19.13  subdivision 7, is amended to read: 
 19.14     Subd. 7.  [LOCAL SERVICE UNIT PLAN.] (a) Each local or 
 19.15  county service unit shall prepare and submit a plan as specified 
 19.16  in section 268.88. 
 19.17     (b) The plan must include a description of how projects 
 19.18  funded under the local intervention grants for self-sufficiency 
 19.19  in section 256J.625, subdivisions 2 and 3, operate in the local 
 19.20  service unit, including: 
 19.21     (1) the target populations of hard-to-employ participants 
 19.22  ~~and~~, working participants in need of job retention and wage 
 19.23  advancement services, and caregivers who, within the last 12 
 19.24  months, have been determined under section 256J.42 to no longer 
 19.25  be eligible to receive MFIP and whose income is below 120 
 19.26  percent of the federal poverty guidelines for a family of the 
 19.27  same size, with a description of how individual participant 
 19.28  needs will be met; 
 19.29     (2) services that will be provided which may include paid 
 19.30  work experience, enhanced mental health services, outreach to 
 19.31  sanctioned families and to caregivers who, within the last 12 
 19.32  months, have been determined under section 256J.42 to no longer 
 19.33  be eligible to receive MFIP but whose income is below 120 
 19.34  percent of the federal poverty guidelines for a family of the 
 19.35  same size, child care for social services, child care transition 
 19.36  year set-aside, homeless and housing advocacy, and 
 20.1   transportation; 
 20.2      (3) projected expenditures by activity; 
 20.3      (4) anticipated program outcomes including the anticipated 
 20.4   impact the intervention efforts will have on performance 
 20.5   measures under section 256J.751 and on reducing the number of 
 20.6   MFIP participants expected to reach their 60-month time limit; 
 20.7   and 
 20.8      (5) a description of services that are provided or will be 
 20.9   provided to MFIP participants affected by chemical dependency, 
 20.10  mental health issues, learning disabilities, or family violence. 
 20.11     Each plan must demonstrate how the county or tribe is 
 20.12  working within its organization and with other organizations in 
 20.13  the community to serve hard-to-employ populations, including how 
 20.14  organizations in the community were engaged in planning for use 
 20.15  of these funds, services other entities will provide under the 
 20.16  plan, and whether multicounty or regional strategies are being 
 20.17  implemented as part of this plan. 
 20.18     (c) Activities and expenditures in the plan must enhance or 
 20.19  supplement MFIP activities without supplanting existing 
 20.20  activities and expenditures.  However, this paragraph does not 
 20.21  require a county to maintain either:  
 20.22     (1) its current provision of child care assistance to MFIP 
 20.23  families through the expenditure of county resources under 
 20.24  chapter 256E for social services child care assistance if funds 
 20.25  are appropriated by another law for an MFIP social services 
 20.26  child care pool; 
 20.27     (2) its current provision of transition-year child care 
 20.28  assistance through the expenditure of county resources if funds 
 20.29  are appropriated by another law for this purpose; or 
 20.30     (3) its current provision of intensive ESL programs through 
 20.31  the expenditure of county resources if funds are appropriated by 
 20.32  another law for intensive ESL grants. 
 20.33     (d) The plan required under this subdivision must be 
 20.34  approved before the local or county service unit is eligible to 
 20.35  receive funds under section 256J.625, subdivisions 2 and 3. 
 20.36     Sec. 17.  Minnesota Statutes 2000, section 256J.56, is 
 21.1   amended to read: 
 21.2      256J.56 [EMPLOYMENT AND TRAINING SERVICES COMPONENT; 
 21.3   EXEMPTIONS.] 
 21.4      (a) An MFIP ~~caregiver~~ participant is exempt from the 
 21.5   requirements of sections 256J.52 to 256J.55 if the ~~caregiver~~ 
 21.6   participant belongs to any of the following groups: 
 21.7      (1) ~~individuals~~ participants who are age 60 or older; 
 21.8      (2) ~~individuals~~ participants who are suffering from a 
 21.9   professionally certified permanent or temporary illness, injury, 
 21.10  or incapacity which is expected to continue for more than 30 
 21.11  days and which prevents the person from obtaining or retaining 
 21.12  employment.  Persons in this category with a temporary illness, 
 21.13  injury, or incapacity must be reevaluated at least quarterly; 
 21.14     (3) ~~caregivers~~ participants whose presence in the home is 
 21.15  required because of the professionally certified illness or 
 21.16  incapacity of another member in the assistance unit, a relative 
 21.17  in the household, or a foster child in the household and the 
 21.18  illness or incapacity is expected to continue for more than 30 
 21.19  days; 
 21.20     (4) women who are pregnant, if the pregnancy has resulted 
 21.21  in a professionally certified incapacity that prevents the woman 
 21.22  from obtaining or retaining employment; 
 21.23     (5) caregivers of a child under the age of one year who 
 21.24  personally provide full-time care for the child.  This exemption 
 21.25  may be used for only 12 months in a lifetime.  In two-parent 
 21.26  households, only one parent or other relative may qualify for 
 21.27  this exemption; 
 21.28     (6) ~~individuals~~ participants who are single parents, or one 
 21.29  parent in a two-parent family, employed at least 35 hours per 
 21.30  week; 
 21.31     (7) ~~individuals~~ participants experiencing a personal or 
 21.32  family crisis that makes them incapable of participating in the 
 21.33  program, as determined by the county agency.  If the participant 
 21.34  does not agree with the county agency's determination, the 
 21.35  participant may seek professional certification, as defined in 
 21.36  section 256J.08, that the participant is incapable of 
 22.1   participating in the program. 
 22.2      Persons in this exemption category must be reevaluated 
 22.3   every 60 days; 
 22.4      (8) second parents in two-parent families employed for 20 
 22.5   or more hours per week, provided the first parent is employed at 
 22.6   least 35 hours per week; or 
 22.7      (9) caregivers with a child or an adult in the household 
 22.8   who meets the disability or medical criteria for home care 
 22.9   services under section 256B.0627, subdivision 1, paragraph (c), 
 22.10  or a home and community-based waiver services program under 
 22.11  chapter 256B, or meets the criteria for severe emotional 
 22.12  disturbance under section 245.4871, subdivision 6, or for 
 22.13  serious and persistent mental illness under section 245.462, 
 22.14  subdivision 20, paragraph (c).  Caregivers in this exemption 
 22.15  category are presumed to be prevented from obtaining or 
 22.16  retaining employment. 
 22.17     A caregiver who is exempt under clause (5) must enroll in 
 22.18  and attend an early childhood and family education class, a 
 22.19  parenting class, or some similar activity, if available, during 
 22.20  the period of time the caregiver is exempt under this section.  
 22.21  Notwithstanding section 256J.46, failure to attend the required 
 22.22  activity shall not result in the imposition of a sanction. 
 22.23     (b) The county agency must provide employment and training 
 22.24  services to MFIP ~~caregivers~~ participants who are exempt under 
 22.25  this section, but who volunteer to participate.  Exempt 
 22.26  volunteers may request approval for any work activity under 
 22.27  section 256J.49, subdivision 13.  The hourly participation 
 22.28  requirements for nonexempt ~~caregivers~~ participants under section 
 22.29  256J.50, subdivision 5, do not apply to exempt ~~caregivers~~ 
 22.30  participants who volunteer to participate. 
 22.31     Sec. 18.  Minnesota Statutes 2000, section 256J.57, 
 22.32  subdivision 2, is amended to read: 
 22.33     Subd. 2.  [NOTICE OF INTENT TO SANCTION.] (a) When a 
 22.34  participant fails without good cause to comply with the 
 22.35  requirements of sections 256J.52 to 256J.55, the job counselor 
 22.36  or the county agency must provide a notice of intent to sanction 
 23.1   to the participant specifying the program requirements that were 
 23.2   not complied with, informing the participant that the county 
 23.3   agency will impose the sanctions specified in section 256J.46, 
 23.4   and informing the participant of the opportunity to request a 
 23.5   conciliation conference as specified in paragraph (b).  The 
 23.6   notice must also state that the participant's continuing 
 23.7   noncompliance with the specified requirements will result in 
 23.8   additional sanctions under section 256J.46, without the need for 
 23.9   additional notices or conciliation conferences under this 
 23.10  subdivision.  The notice, written in English, must be sent to 
 23.11  every applicable participant.  In addition, if a county agency 
 23.12  has identified, in the case of a particular participant, that 
 23.13  the participant's primary language is a language other than 
 23.14  English and that language is the primary language of two percent 
 23.15  or more of the state's population, the county agency must also 
 23.16  send the notice in that primary language.  If the participant 
 23.17  does not request a conciliation conference within ten calendar 
 23.18  days of the mailing of the notice of intent to sanction, the job 
 23.19  counselor must notify the county agency that the assistance 
 23.20  payment should be reduced.  The county must then send a notice 
 23.21  of adverse action to the participant informing the participant 
 23.22  of the sanction that will be imposed, the reasons for the 
 23.23  sanction, the effective date of the sanction, and the 
 23.24  participant's right to have a fair hearing under section 256J.40.
 23.25     (b) The participant may request a conciliation conference 
 23.26  by sending a written request, by making a telephone request, or 
 23.27  by making an in-person request.  The request must be received 
 23.28  within ten calendar days of the date the county agency mailed 
 23.29  the ten-day notice of intent to sanction.  If a timely request 
 23.30  for a conciliation is received, the county agency's service 
 23.31  provider must conduct the conference within five days of the 
 23.32  request.  The job counselor's supervisor, or a designee of the 
 23.33  supervisor, must review the outcome of the conciliation 
 23.34  conference.  If the conciliation conference resolves the 
 23.35  noncompliance, the job counselor must promptly inform the county 
 23.36  agency and request withdrawal of the sanction notice. 
 24.1      (c) Upon receiving a sanction notice, the participant may 
 24.2   request a fair hearing under section 256J.40, without exercising 
 24.3   the option of a conciliation conference.  In such cases, the 
 24.4   county agency shall not require the participant to engage in a 
 24.5   conciliation conference prior to the fair hearing. 
 24.6      (d) If the participant requests a fair hearing or a 
 24.7   conciliation conference, sanctions will not be imposed until 
 24.8   there is a determination of noncompliance.  Sanctions must be 
 24.9   imposed as provided in section 256J.46. 
 24.10     Sec. 19.  Minnesota Statutes 2000, section 256J.62, 
 24.11  subdivision 9, is amended to read: 
 24.12     Subd. 9.  [CONTINUATION OF CERTAIN SERVICES.] At the 
 24.13  request of the ~~caregiver~~ participant, the county may continue to 
 24.14  provide case management, counseling, or other support services 
 24.15  to a participant ~~following the participant's achievement of~~: 
 24.16     (a) who has achieved the employment goal~~,~~; or 
 24.17     (b) who under section 256J.42 is no longer eligible to 
 24.18  receive MFIP. 
 24.19     These services may be provided for up to 12 months 
 24.20  following termination of the participant's eligibility for 
 24.21  MFIP as long as the participant's household income is below 200 
 24.22  percent of the federal poverty guidelines. 
 24.23     ~~A county may expend funds for a specific employment and~~ 
 24.24  ~~training service for the duration of that service to a~~ 
 24.25  ~~participant if the funds are obligated or expended prior to the~~ 
 24.26  ~~participant losing MFIP eligibility.~~ 
 24.27     Sec. 20.  Minnesota Statutes 2000, section 256J.625, 
 24.28  subdivision 1, is amended to read: 
 24.29     Subdivision 1.  [ESTABLISHMENT; GUARANTEED MINIMUM 
 24.30  ALLOCATION.] (a) The commissioner shall make grants under this 
 24.31  subdivision to assist county and tribal TANF programs to more 
 24.32  effectively serve hard-to-employ MFIP participants and 
 24.33  participants who, within the last 12 months, have been 
 24.34  determined under section 256J.42 to no longer be eligible to 
 24.35  receive MFIP but whose income is below 120 percent of the 
 24.36  federal poverty guidelines for a family of the same size.  Funds 
 25.1   appropriated for local intervention grants for self-sufficiency 
 25.2   must be allocated first in amounts equal to the guaranteed 
 25.3   minimum in paragraph (b), and second according to the provisions 
 25.4   of subdivision 2.  Any remaining funds must be allocated 
 25.5   according to the formula in subdivision 3.  Counties or tribes 
 25.6   must have an approved local service unit plan under section 
 25.7   256J.50, subdivision 7, paragraph (b), in order to receive and 
 25.8   expend funds under subdivisions 2 and 3.  
 25.9      (b) Each county or tribal program shall receive a 
 25.10  guaranteed minimum annual allocation of $25,000. 
 25.11     Sec. 21.  Minnesota Statutes 2000, section 256J.625, 
 25.12  subdivision 2, is amended to read: 
 25.13     Subd. 2.  [SET-ASIDE FUNDS.] (a) Of the funds appropriated 
 25.14  for grants under this section, after the allocation in 
 25.15  subdivision 1, paragraph (b), is made, 20 percent of the 
 25.16  remaining funds each year shall be retained by the commissioner 
 25.17  and awarded to counties or tribes whose approved plans 
 25.18  demonstrate additional need based on their identification of 
 25.19  hard-to-employ families ~~and~~, working participants in need of job 
 25.20  retention and wage advancement services, and participants who 
 25.21  within the last 12 months, have been determined under section 
 25.22  256J.42 to no longer be eligible to receive MFIP but whose 
 25.23  income is below 120 percent of the federal poverty guidelines 
 25.24  for a family of same size, strong anticipated outcomes for 
 25.25  families and an effective plan for monitoring performance, or, 
 25.26  use of a multicounty, multi-entity or regional approach to serve 
 25.27  hard-to-employ families ~~and~~, working participants in need of job 
 25.28  retention and wage advancement services, and participants who, 
 25.29  within the last 12 months, have been determined under section 
 25.30  256J.42 to no longer be eligible to receive MFIP but whose 
 25.31  income is below 120 percent of the federal poverty guidelines 
 25.32  for a family of the same size, who are identified as a target 
 25.33  population to be served in the plan submitted under section 
 25.34  256J.50, subdivision 7, paragraph (b).  In distributing funds 
 25.35  under this paragraph, the commissioner must achieve a geographic 
 25.36  balance.  The commissioner may award funds under this paragraph 
 26.1   to other public, private, or nonprofit entities to deliver 
 26.2   services in a county or region where the entity or entities 
 26.3   submit a plan that demonstrates a strong capability to fulfill 
 26.4   the terms of the plan and where the plan shows an innovative or 
 26.5   multi-entity approach. 
 26.6      (b) For fiscal year 2001 only, of the funds available under 
 26.7   this subdivision the commissioner must allocate funding in the 
 26.8   amounts specified in article 1, section 2, subdivision 7, for an 
 26.9   intensive intervention transitional employment training project 
 26.10  and for nontraditional career assistance and training programs.  
 26.11  These allocations must occur before any set-aside funds are 
 26.12  allocated under paragraph (a). 
 26.13     Sec. 22.  Minnesota Statutes 2000, section 256J.625, 
 26.14  subdivision 4, is amended to read: 
 26.15     Subd. 4.  [USE OF FUNDS.] (a) A county or tribal program 
 26.16  may use funds allocated under this subdivision to provide 
 26.17  services to MFIP participants who are hard-to-employ and their 
 26.18  families.  Services provided must be intended to reduce the 
 26.19  number of MFIP participants who are expected to reach the 
 26.20  60-month time limit under section 256J.42.  Counties, tribes, 
 26.21  and other entities receiving funds under subdivision 2 or 3 must 
 26.22  submit semiannual progress reports to the commissioner which 
 26.23  detail program outcomes. 
 26.24     (b) Funds allocated under this section may not be used to 
 26.25  provide benefits that are defined as "assistance" in Code of 
 26.26  Federal Regulations, title 45, section 260.31, to an assistance 
 26.27  unit that is only receiving the food portion of MFIP benefits or 
 26.28  under section 256J.42 is no longer eligible to receive MFIP. 
 26.29     (c) A county may use funds allocated under this section for 
 26.30  that part of the match for federal access to jobs transportation 
 26.31  funds that is TANF-eligible.  A county may also use funds 
 26.32  allocated under this section to enhance transportation choices 
 26.33  for eligible recipients up to 150 percent of the federal poverty 
 26.34  guidelines. 
 26.35     Sec. 23.  Minnesota Statutes 2000, section 256J.751, is 
 26.36  amended to read: 
 27.1      256J.751 [COUNTY PERFORMANCE MANAGEMENT.] 
 27.2      ~~(a)~~ Subdivision 1.  [QUARTERLY REPORT.] The commissioner 
 27.3   shall report quarterly to all counties each county's performance 
 27.4   on the following measures: 
 27.5      (1) ~~percent of MFIP caseload working in paid employment;~~ 
 27.6      ~~(2) percent~~ number of ~~MFIP caseload~~ cases receiving only 
 27.7   the food portion of assistance; 
 27.8      (2) number of child-only cases; 
 27.9      (3) number of minor caregivers; 
 27.10     (4) number of cases that are exempt from the 60-month time 
 27.11  limit by the exemption category under section 256J.42; 
 27.12     (5) number of participants who are exempt from employment 
 27.13  and training services requirements by the exemption category 
 27.14  under section 256J.56; 
 27.15     (6) number of assistance units receiving assistance under a 
 27.16  hardship extension under section 256J.425; 
 27.17     (7) number of participants and number of months spent in 
 27.18  each level of sanction under section 256J.46, subdivision 1; 
 27.19     ~~(3)~~ (8) number of MFIP cases that have left assistance; 
 27.20     ~~(4)~~ (9) federal participation requirements as specified in 
 27.21  title 1 of Public Law Number 104-193; ~~and~~ 
 27.22     ~~(5)~~ (10) median placement wage rate~~.~~; and 
 27.23     ~~(b)~~ (11) of each county's total MFIP caseload less the 
 27.24  number of cases in clauses (1) to (6): 
 27.25     (i) number of one-parent cases; 
 27.26     (ii) number of two-parent cases; 
 27.27     (iii) percent of one-parent cases that are working more 
 27.28  than 20 hours per week; 
 27.29     (iv) percent of two-parent cases that are working more than 
 27.30  20 hours per week; and 
 27.31     (v) percent of cases that have received more than 36 months 
 27.32  of assistance. 
 27.33     Subd. 2.  [ANNUAL REPORT.] By January 1 of each year, the 
 27.34  commissioner must report to all counties and to the legislature 
 27.35  on each county's annual performance on the measures required 
 27.36  under subdivision 1.  The report must also include each county's 
 28.1   performance on: 
 28.2      (1) the number of out-of-wedlock births and births to teen 
 28.3   mothers; and 
 28.4      (2) MFIP utilization rates by racial and ethnic group. 
 28.5      Subd. 3.  [DEVELOPMENT OF PERFORMANCE MEASURES.] By January 
 28.6   1, 2002, the commissioner shall, in consultation with counties, 
 28.7   develop measures for county performance in addition to those in 
 28.8   ~~paragraph (a)~~ subdivision 1 and 2.  In developing these 
 28.9   measures, the commissioner must consider: 
 28.10     (1) a measure for MFIP cases that leave assistance due to 
 28.11  employment; 
 28.12     (2) job retention after participants leave MFIP; and 
 28.13     (3) participant's earnings at a follow-up point after the 
 28.14  participant has left MFIP; and 
 28.15     (4) the appropriateness of services provided to minority 
 28.16  groups. 
 28.17     ~~(c)~~ Subd. 4.  [FAILURE TO MEET FEDERAL PERFORMANCE 
 28.18  STANDARDS.] (a) If sanctions occur for failure to meet the 
 28.19  performance standards specified in title 1 of Public Law Number 
 28.20  104-193 of the Personal Responsibility and Work Opportunity Act 
 28.21  of 1996, the state shall pay 88 percent of the sanction.  The 
 28.22  remaining 12 percent of the sanction will be paid by the 
 28.23  counties.  The county portion of the sanction will be 
 28.24  distributed across all counties in proportion to each county's 
 28.25  percentage of the MFIP average monthly caseload during the 
 28.26  period for which the sanction was applied. 
 28.27     ~~(d)~~ (b) If a county fails to meet the performance standards 
 28.28  specified in title 1 of Public Law Number 104-193 of the 
 28.29  Personal Responsibility and Work Opportunity Act of 1996 for any 
 28.30  year, the commissioner shall work with counties to organize a 
 28.31  joint state-county technical assistance team to work with the 
 28.32  county.  The commissioner shall coordinate any technical 
 28.33  assistance with other departments and agencies including the 
 28.34  departments of economic security and children, families, and 
 28.35  learning as necessary to achieve the purpose of this paragraph. 
 28.36     Sec. 24.  [REPEALER.] 
 29.1      Minnesota Statutes 2000, sections 256J.42, subdivision 4, 
 29.2   and 256J.46, subdivision 1a, are repealed.